Moral Economics Words of Praise for Economics: From the Dismal Science to the Moral Science The Moral Economics of Kendall P Cochran “I have never been able to see how there can be interesting ‘economics’ separate from ‘institutional economics’ and vice versa After all, markets are social institutions and so are various forms of property Economics is really about how they work I suspect Professor Cochran understood this and tried to teach it and it is time to learn for all of us.” —Robert Solow, Professor Emeritus, MIT, Nobel Laureate 1987 “This book provides a major contribution to contemporary economic thought It provides a timely and timeless analysis that explores all of the relevant issues necessary to assess the optimal role and size of government in our modern-day capitalist society The writings of Professor Cochran should be especially valuable to anyone willing to explore these issues with open eyes and an open mind A great feature of the book is the introductory material for each chapter, in which former students and colleagues provide enormous value by placing Professor Cochran’s views and writings into the context of 21st century American debates As a person who has written extensively on the issue of financial institutions that are Too Big to Fail and the horrendous costs they have imposed on society, I wish that much of the guidance and precepts espoused by Professor Cochran had been put into practice years ago Incentives truly matter, and Professor Cochran’s writings offer special guidance and insights into getting economic incentives right by not ignoring the important moral precepts contained in Adam Smith’s original writings.” —Harvey Rosenblum, Executive Vice President and Director of Research (retired), Federal Reserve Bank of Dallas and Adjunct Professor of Finance, Cox School of Business, Southern Methodist University i Moral Economics “This collection of articles and reviews is of great significance to our age, an age in which reactionary members of the U.S Congress have had enough influence to shut down the government, not once but twice The poor and the dispossessed should not be pushed down even further by austerity economics Economics is not a value-free science If it were, it would be of no value Instead, economics is a moral science Read what Cochran has to say about these moral issues and you sit at the feet of a great teacher.” —William M Dugger, Professor of Economics, The University of Tulsa “Those who are not economists may find this book easier to read than expected Unlike many books on economics, or so it seems to this non-economist, it is not riddled with jargon, or cluttered with unneeded citations, and the ideas are clearly stated Moreover, the ideas seem not to be bubbles of academic fancy but connected to the average person’s view of reality In short, in structure and expression it seems a model of its type.” —George W Martin, author of Madam Secretary, Frances Perkins, the biography of America’s first female cabinet member who was responsible for the Social Security Act of 1935 and still has a hand in our lives “Moral Economics In these days of grab-and-go corporate ethics, abetted by the gross money-corruption of our government, it's almost quaint to see these two words linked But Ken Cochran believed that any society that separated them could not really be called a society, much less a just one His writings are timely guideposts for us today, as worker rebellions are gaining traction and various voices from Occupy to the Pope are tapping into people's yearning for a moral economy of fairness and equal opportunity for all.” —Jim Hightower, author, speaker, radio commentator, editor of The Hightower Lowdown and author of Thieves in High Places ii Moral Economics "The republication of Ken Cochran's demonstration that economics is a moral science and that the economy operates within a matrix of institutions could not be more welcome at the present time This volume makes an excellent contribution to current discussions about economics and its purposes." —John Davis, past president of the Association of Social Economics and past editor of the Review of Social Economics, Professor of Economics, Marquette University and the University of Amsterdam “This book is based on articles written by Professor Kendall Cochran The articles reflect clearly his conviction that economics is a moral science and that economists have an obligation to consider the consequences of their policy recommendations.” —Horace Brock, Distinguished Professor of Accounting and former Director of the Institute of Petroleum Accounting at the University of North Texas iii Moral Economics Economics: From the Dismal Science to the Moral Science The Moral Economics of Kendall P Cochran Professor Kendall Cochran was a leader in the American institutionalist school of heterodox economics This volume includes twenty published articles and book reviews, as well as several talks given by Cochran In these, he examines some of the fundamental prerequisites for government involvement in the economy Early institutional economists did have a concern for economic planning and reform Kendall Cochran has advanced heterodox economics by adding to the examination and scientific explanations of the status quo, the underpinnings of the institutional, historical, technological, and social forces that shape the economy In essence, he took the dismal science and made it into a moral science Thus, the economist has a moral responsibility to help society see where it might go Today, the moral dilemma facing society, and thus economists, is not to defend the status quo with models, equations, etc., but to argue for social change as well as for the explicit implementation of moral or value judgments in this change Essential to our reasoning is that moral assumptions challenge the traditional ownership of the means of production, the setting of prices, and the distribution of income Recent revelations of the truth about austerity provide a wake-up call to everyone who was willing to go along with the nonsensical notion that the best way to create jobs is to lay off teachers, police officers, and other government employees Government has a very important role to play, especially when the economy is sluggish and failing to generate sufficient jobs, and economists must ensure that the role of government is understood by all Cochran’s moral science creates an expectation that economists think about the consequences of their policy recommendations iv Moral Economics These articles provide the basic understanding required to analyze the market, not as a self-adjusting one, but rather one based upon rational and moral assumptions to achieve a desired end for society as a whole If it takes government intervention, rather than a haphazard pattern of different assumptions and results that later may be found to be invalid so be it This volume will be of most interest and value to policymakers, professional economists, and graduate students, all of whom are looking to expand the scope of economics and raise it to a level that will increase the well-being of society as a whole That is the true role and goal of the institutional economists Kendall P Cochran is deceased, but served as Chairman and Professor of Economics at the University of North Texas Susan McHargue Dadres is Senior Lecturer in Economics at University of North Texas Mona S Hersh-Cochran is Professor Emerita at Texas Woman’s University David J Molina is Associate Professor of Economics at University of North Texas v Moral Economics vi ECONOMICS: FROM THE DISMAL SCIENCE TO THE MORAL SCIENCE The Moral Economics of Kendall P Cochran Second Edition Edited by Susan McHargue Dadres, Mona S Hersh-Cochran, and David J Molina Eagle Editions An Imprint of the University of North Texas Libraries Denton Published by University of North Texas Libraries 1155 Union Circle #305190 Denton, TX 76203-5017 Copyright © 2014 Susan McHargue Dadres, Mona S Hersh-Cochran, and David J Molina Some rights reserved This work is published under a Creative Commons Attribution 4.0 International Public License Published 2015 Printed in the United States of America ISBN: 978-1-68040-000-7 DOI: http://dx.doi.org/10.12794/sps.economics-000-7 Requests for permission beyond uses allowed according to the Creative Commons license should be directed to: University of North Texas Department of Economics 1155 Union Circle #311457 Denton, TX 76203-5017 To Paula, Susan, and Kenneth Hersh and all the former students Moral Economics WEALTH AND POVERTY By George Gilder New York: Basic Books, 1981 306 pages Review published in Social Science Quarterly, Volume 63, Number (December 1982), pp 793–794 It is impossible to assess the overall value of the book, simply because it will be judged by so many differing criteria One reviewer/assayer claimed its appeal would be "for the new graduate who wants to exchange academic theory for practical reality," while others regarded it as little more than "an evangelistic defense of capitalism” or an "ode to the economic and moral benefits of unfettered capitalism." It has also been judged as "The Emancipation Proclamation of 1981," and been discarded as "voodoo economics." Whatever the a priori assumptions of the reader, it will not be easily dismissed Nor should it be It is a serious work, and it should be taken seriously, both by those who applaud its conclusions as long overdue and by those who reject them as long overdone This is a book that has to be read No review, no article no brief essay can capture the spirit of this work As almost everybody knows by now, it is the bible of those who, as an article of faith, believe in supply-side economics And make no mistake, "faith" is the prime prerequisite Thus those who share a given set of assumptions will applaud and find comfort and solace in every line Those who have long ago rejected this particular view of man and his social environment will react with shock, anger, amusement Few will be untouched by reading it According to Gilder, the U.S economy is in serious trouble Inflation, broken homes, crime in the street, rotting inner cities, are not the problem, however They are only the outward manifestations, the symptoms, of the malaise that has eaten away at the vital organs of this once healthy, burgeoning, growing, and vitally dynamic economy of plenty Those golden days of yesteryear can be recaptured—but only if we destroy the cancerous 240 Book Reviews tumor that is eating away at what remains of that once healthy and vital body politic The central cause underlying this complex problem is disarmingly simple: the welfare state (that is, "the eleemosynary state") has supported too many lazy, indigent, able-bodied men, women and children who prefer the dole to productive employment And to support these paupers taxes have been raised to such astronomical heights that personal savings—the very lifeblood of the free enterprise system—have been eroded away The solution is both obvious and simple: away with all forms of welfare and mount a massive tax cut on personal income This will lead to a significant increase in personal saving which will automatically become new investment in plant and equipment Thus new employment opportunities will be created for those previously on welfare These ideas are of course, as old as any to be excavated in the economist's diggings Adam Smith built his monumental edifice on the basic premise that personal savings were synonymous with capital formation Ricardo and Say believed that any act of saving meant an increase in the stockpile of plant and equipment Ricardo also argued that "every friend of the poor must ardently wish for the abolition of the Poor Laws [Welfare Payments] since it is abundantly clear that they serve only to deteriorate the condition of both the poor and the rich." There is relatively little that is new in Gilder's work These are old and familiar arguments But the assumptions, the a priori premises upon which his arguments depend, deserve close attention Of primary importance are his views on poverty According to Gilder, "The poor know that their condition is to a great degree their own fault or choice." The "opinion that racism and discrimination still explain the low incomes of the blacks is at once false and invidious." It was specifically the War on Poverty that "halted in its tracks an [already] ongoing improvement in the lives of the poor." As a direct consequence, "the condition of blacks has radically worsened." These views stem directly from Gilder's specific assertion that "real poverty is less a state of income than a state of mind." In other words, being poor has nothing to with low income, 241 Moral Economics because real poverty is only a "state of mind." I can now finally understand what was meant by "Let them eat cake." Once that premise is accepted, once we understand that real poverty is unrelated to the misery of not having sufficient income to buy either bread or cake, we can understand what poverty is really all about It is only a state of mind It is the way the poor look at themselves—their mental attitude Only when we grasp that elementary point can we identify the "moral hazards that cause this poverty." If we could eliminate these "moral hazards," we could obviously eliminate poverty! Gilder emphasizes the more important of these moral hazards They are unemployment compensation, aid to families with dependent children, disability insurance, social security payments to the aged and the disabled, training programs for ghetto youth, meals for the elderly, etc., etc The list of these "moral hazards" is not endless, but it is lengthy And the solution is simple: "To the degree that the moral hazards (poverty of the mind) exceed the welfare effects [low income] all these programs should be modified, usually by reducing the benefits." Since that degree is ultimately a "thing of the mind" and cannot be measured, it follows that we must simply eliminate most of these moral hazards and get back on the track of material progress and free enterprise, from which we have been diverted for the last few decades According to Glider, we really have no choice, because "the only lesson" of this new economics is the absolute first priority to "enhance investment and productivity by lowering the now confiscatory tax rates on high incomes from investment." "The crucial question in a capitalist country is the quality and quantity of investment by the rich." "The single most important ingredient for economic growth and material progress is private rights to property." Gilder's thesis ultimately rests on the avowed recognition that "material progress is ineluctably elitist." Thus the truly significant lesson to be learned from the last two centuries of progress is that the whole purpose of progress is to make the rich richer It exalts to new heights of material prosperity "the few extraordinary men" who are responsible for the savings and the innovating that makes this all possible Since they create it, they deserve a larger share of the proceeds But to realize that larger 242 Book Reviews share, we must first eliminate the welfare programs which have absorbed the savings of the rich Thus the quality of life, as measured by a social responsibility for meals on wheels, psychiatric counseling for the elderly, aid to the families with dependent children, free school lunches for needy children, unemployment compensation benefits for the unemployed, student loans and jobs, will all be replaced by massive tax cuts to stimulate new job opportunities for those same disadvantaged individuals This book could most appropriately be titled Horatio Alger Revisited, with appropriate footnotes, documentation, and anthropological and historical illustrations If the reader brings a basic belief in Horatio Alger (By Pluck, Not LUCK) then this book will make eminent good sense "Just what I've always known!" And to those faithful, the argument is most appealing Inflation, collapsing productivity, disintegrating family life, crime in the cities, a booming underground economy—are all "caused or made worse by the destructive pattern of taxation" which has destroyed the will of the rich to save And this is crucial, for according to Gilder, "it is psychological forces above all else that shape the performance of the economy." To free these psychological forces, we need only to eliminate the massive burden of the welfare state and enact equally massive tax cuts for the rich That the rich will then invest these savings in new productive capacity rather than acquiring a baseball team or reveling in private jets, cocaine, designer clothes, art collections, and extended vacations at the Riviera, is the sanguine hope on which this house of cards stands 243 Moral Economics COMMON DECENCY AND DOMESTIC POLICIES AFTER REAGAN By Alvin L Schorr New Haven: Yale University Press, 1986 246 pages Review published in Journal of Economic Issues, June 1987, pp 941–944 Reprinted from the Journal of Economic Issues by special permission of the copyright holder, the Association for Evolutionary Economics This is a social agenda for those who want to pursue an extension of the welfare state so abruptly sidetracked by Ronald Reagan But this new welfare state of Alvin L Schorr's is something broader and deeper in its aims and intents than what we have known in the past What he seeks is "to allow all or most citizens to feel a sense of community, that is, of a common fate and common prospect." Achieving a welfare state that incorporates a "sense of community" is the prime task, and one that Schorr discusses in great detail He begins with the history and present welfare state in the United States and attempts to move forward from there to "the objectives that decent people would pursue." These primary objectives are, first, "fair shares," or a nearer approach to equality in income distribution A "true welfare state will eliminate or at least reduce poverty." This would require a massive redistribution of income from the 40 percent of the population with the most income to the 40 percent with the least Schorr notes that while this may seem "formidable," we have in recent years "far exceeded that magnitude in the opposite direction." The second of the decent goals is “mainstreaming income maintenance and social services." This is the opposite of meanstesting—whatever the primary criteria for entitlement, need or income would be excluded In the good society that Schorr envisages, income maintenance would be a matter of community right because "means-testing tends to segregate and stigmatize." 244 Book Reviews The third goal is full employment While Schorr believes economists disagree as to the natural rate of unemployment, his "new welfare state must take as a premise the nearest approximation of full employment that is possible," because full employment is a necessary prerequisite to fair shares Both are vital in creating a more egalitarian division of income and in achieving the citizen's sense of participation in society The fourth goal, "selective decentralization," is by far the weakest case in his five-point program It is not clear which functions are to be "selectively decentralized," and which are to be (or remain) centralized This reviewer had the feeling that the author simply had an a priori belief that neighborhood solutions are to be pursued where feasible, and that is about as much of a case as was made The fifth goal, "integration," requires "contact and communication between ethnic groups" and is a necessary objective because racism is so extensive and deeply rooted in our present society It must be eliminated if "a real sense of community is to be realized." Having presented the essential ingredients of his new welfare state, Schorr analyzes the history and the present status of our extant welfare system and his specific recommendations for four areas: income security, aid to women and children, housing, and public health James P Comer adds a chapter on education The section on "income security" is largely a review of our present social security programs and how these could be changed to meet his basic principles: that social income should be a matter of right or entitlement, such social benefits should be related to a record of work and to individual contribution; and at the same time such benefits should be geared to favor those with the lowest incomes In the section on Aid to Families with Dependent Children, Schorr addresses his belief that while we have had some success in meeting the needs of specified individuals—the disabled, retired, unemployed, widowed—we have failed to meet the needs of children and their families It is their needs to which he addresses several proposals, the most important of which is a refundable tax credit This would be a "credit against income taxes or a cash payment when income taxes are not owed." This, a form of 245 Moral Economics negative income tax, is proposed as a substitute for personal income tax exemptions since it would be of more direct benefit to the poor; it would also replace the current AFDC program Schorr makes a good case for the simplicity and directness of such a subsidy program versus the exceedingly complex application process for benefits under AFDC It would also meet his original premise that all social benefits should be a matter of right or entitlement, not proven need With respect to housing, "the nation's most severe and persistent social problem," four clearly overlapping problems are identified: segregation in residential housing, woefully inadequate housing for poor people, the persistent climb in all housing costs, and an approaching crisis in overall supply He traces the history and present status of each of these problem areas and suggests policies and reforms for each All in all, it is a fairly bleak picture, as this remains the most intractable of the areas in need of improvement if the new welfare state is to be realized The first step to realizing better housing will be a more equitable distribution of income, according to Schorr As poor people receive a larger share of the national income, they will receive a larger share of decent housing This, however, is a long-term goal, and in the meantime Schorr believes various subsidies and public investment programs will be required The chapter, "Education for Community," was written by James P Comer It roughly parallels the other chapters in outlining what the basic dimensions of a better—more equitable—welfare state would be: to provide the educational experience to "maintain a climate of community, to promote general welfare, and to develop our democratic society." And because of our experience with public education thus far, he concludes that it would "not be rational to allow financial support for education to rest on the resources of local communities alone." In the section on public health, after reviewing the history of public health care in the United States—primarily Medicare and Medicaid—the author concludes that the goals he champions, "quality, access, equity, and reasonable cost," were subverted by the overwhelmingly powerful private health industry To achieve these goals he would opt in his welfare state for some form of National Health Insurance In an idealistic system he would choose 246 Book Reviews some form of National Health Service where physicians would be employed, and facilities owned, by some federal agency The book concludes with a short and thoughtful chapter, "Policies for Decent People." Here he discusses with passion and conviction the importance of identifying a "common fate and a common prospect," so vitally important if a new and decent welfare state is to be realized He notes the many difficulties and obstacles (particularly, racism) stemming from our history and our inherited value structure, but he believes it is still possible that "we may yet build a society that is just and fraternal." Mr Schorr, a Professor of Family Welfare at Case Western Reserve University, is not an economist, and the book suffers from his incomplete understanding that not all economists (including most of the readers of this journal) believe there is a "normal rate of unemployment." But it is a good book for anyone concerned with economic issues such as the welfare state and what might be done to make it more compatible with the goals of decent people 247 Moral Economics WALL STREET AND SECURITY RISK By Hurd Baruch Baltimore: Penguin Books, 1972 356 pages Review published in Journal of Economic Issues, December 1973, pp 710-712 Reprinted from the Journal of Economic Issues by special permission of the copyright holder, the Association for Evolutionary Economics This stimulating and intriguing work is a detailed expose of the stock exchange; it reveals the appalling lack of customer protection, the fraud and deceit, the misuse or misappropriation of private funds and negotiable assets, and the rickety or nonexistent capital structure Indeed, caveat emptor has found its fullest expression here The underlying cause of these deficiencies, according to Hurd Baruch, is "the breakdown of self-regulation," which has been little more than a myth, a "euphemism for nonregulation, a force for the preservation of the age-old law of the marketplace, 'let the buyer beware.'” Self-regulation simply has not worked, and in the author's view the time is past due to find another method of policing the industry for the protection of its thirty million customers There are four glaring weaknesses with which selfregulation has failed to cope First, within the atmosphere of this closed club, some firms are "more equal than others." Thus, when the stock market found itself in serious financial straits, the members of the club let the smaller firms slip down the drain without batting an eye, but then they rushed to the financial aid of the largest firms Merrill Lynch was paid $20 million by the club to take over Goodbody, for example A second major weakness is the very thin capitalization of the brokerage firms In effect, the business is run almost exclusively on customers' assets Undoubtedly, most naive customers think that the broker exists to make him—the customer—rich Quite to the contrary! The function of the customer is to supply the cash and securities to the broker so that 248 Book Reviews the broker can become rich—using the customer's money When a brokerage firm needs liquid assets, it simply uses cash that its customers have put up These funds can indeed be sizeable: The 1970 free credit balances of Merrill Lynch totaled over a third of a billion dollars The aggregate free credit balances held by all the stock exchange member firms has varied between $2 and $3.7 billion during the last three years Equally deplorable, according to Baruch, is the fact that the broker uses not only the customer's cash balances to finance his operations, but also the customer's stock which he is holding, presumably, in trust The most common technique is to use the stock as collateral for a bank loan that the broker negotiates Baruch therefore urges that regulations similar to those of the commodity exchange be promulgated for the stock exchange The broker would be prohibited from using his customers' money as his own While most business firms have raised capital funds by borrowing from the public or selling stock certificates to the public, the brokerage firms have resisted doing this because "they did not wish to pay the price of public ownership—a share of the profits and the disclosure of information about their operations.” The third critical problem stems from the physical handling of the stock certificate itself This "paper work blizzard" mushroomed from a daily average volume of four million shares in 1961 to as much as 21 million shares a day in the late sixties The fact is that the firms were totally incapable of handling this volume of paper shuffling Simply to record a single transaction, "dozens of forms and memoranda in multiple copies must be prepared, executed and filed." Because the volume became so large and unwieldy, many firms simply did not record the transactions and records, and others were at best sketchy Lehman Brothers, one of the most prestigious and powerful firms on Wall Street, unaccountably lost some $700 million of securities and thus “demonstrated that self-regulation has inherent defects, especially where the more powerful members of the industry would be adversely affected.” While the stock certificate does have specific uses, among the more important of which is that it is a negotiable instrument which can serve as collateral for a loan, Baruch nevertheless makes a rather compelling case for its prompt elimination The physical 249 Moral Economics transfer of the stock certificate upon purchase and sale simply has become too cumbersome to be tolerated in an electronic society Like cash, it will have to be replaced by electronic bookkeeping The overwhelming flood of paper work which transpires daily and which brings trading to a standstill on a busy day would be eliminated; with computerized accounting the transactions would be immediate and delivery problems would cease to exist The fourth critical problem stemming from self-regulation, or better, self-nonregulation, is the lack of competition in setting the broker's fee Although brokers insist upon the virtues of competition in the marketplace, they rigorously and strenuously try to keep to the fixed fee Baruch's solution for this problem is really very simple: Remove the stock exchange exemption from the antitrust laws, and enforce the antitrust laws in the stock exchange as they are enforced elsewhere To achieve the necessary reforms Baruch makes two other basic recommendations First, the regulatory body (the commission) should be self-funding That is, it should collect fees from the brokerage houses large enough to provide a budget sufficient to enforce the rules that exist Second, the members of the commission should be appointed by the President, as now, but the first five-year renewal should be automatic The supervisory members would have a longer tenure than they at the present time This presumably would render the SEC a completely independent body and thus permit it to supervise and regulate this most important industry from the public's, rather than from the industry's, point of view This, it would seem, is one of the weaker and more naive of Baruch's suggested reforms: If the industry is to finance it, how could we expect it to anything but serve the industry? The author is a senior staff member of the Securities and Exchange Commission, and this book is the result of his experience there It is a long, detailed, and well-documented indictment of the serious and grievous patterns of behavior within the stock market It leads one to doubt that the market is indeed the viable and inherently strong institution that it claims to be Baruch makes the case for needed and long overdue reforms if the stock market is to serve the important function that the financial community of the U.S economy desperately needs It should be 250 Book Reviews required reading for anyone with even a part-time interest in the stock exchange 251 Index INDEX Friedman, Milton 21, 31, 106, 122, 123, 235 Galbraith, John K 18, 22, 26, 31 General Theory 105, 233 Gide, Charles 21, 31 Gilder, George 240 Girvetz, Harry K 26, 32 Grampp, William D 32 Gruchy, Allan G 32 Hamilton, David 4, 170, 176, 180, 184, 190, 195, 203, 207 Hamilton, Walton 7, 173, 174, 183, 194, 195, 206, 208 Herndon, Thomas 1, Institutional Economics 5, 7, 8, 11, 13,19, 31, 144, 146, 168, 170, 172, 175, 177, 180, 183, 187, 188, 190, 193, 195, 197, 199, 200, 206, 207 Kaplan, Abraham 143, 144, 145, 146, 194 Keynes, J.M 33, 39, 105, 114, 142, 145, 173, 183, 194, 199, 208, 233 Krugman, Paul 2, 3, 92 Lekachman, Robert 111, 115 Lerner, Abba P 114, 115 Lowe, Adolph 176, 178, 182, 184, 188, 192, 195, 197, 201, 204, 207, 208 Lutz, M A 17, 19 Adams, Walter 199 Ash, M Ayres, Clarence 6, 7, 13, 26, 31, 147, 176, 184, 195, 208 Baruch, Hurd 248 Bentham, Jeremy 17, 21, 23, 24, 31, 178, 189, 201 Boulding, K E 17, 19 Breit, William 31 Carroll, Michael C 17, 19, Clark, J B 28, 31 Committee for Economic Development 211, 213, 214, 215 Commons, John R 7, 18, 26, 27, 31, 144, 146, 171, 180, 182, 184, 185, 187, 191, 192, 195, 200, 203, 204, 207 Deane, Phyllis 169, 179, 184, 189, 195, 207 Dewey, John R 95, 144, 146, 185, 187, 190, 195, 197, 199, 200, 203, 207 Dugger, William M 4, 14, 103, 116, 117, 137, 144, 146 Economic Literacy 211, 213, 219, 222, 223, 224, 225, 226 Economic Planning 7, 8, 13, 167, 168, 169, 170, 171, 172, 177, 178, 179, 180, 181, 182, 184, 187, 181, 189, 190, 191, 192, 193, 195, 197, 200, 201, 204, 205, 207 Etzioni, A 17, 19 253 Moral Economics Robbins, Lionel 21, 32 Robinson, Joan 114, 116 Rogoff, Kenneth 1, Say, Jean B 32 Schorr, Alvin 244 Smith, Adam 1, 2, 3, 11, 15, 17, 18, 19, 23, 24, 25, 27, 28, 32, 42, 50, 94, 97, 100, 102, 103, 105, 111, 112, 114, 116, 128, 131, 133, 137, 138, 139, 140, 142, 145, 146, 149, 150, 151, 152, 154, 155, 164, 231, 233, 235, 241 Smith, Vernon 19 Stiglitz, Joseph 92 Time Magazine 116 Tool, Marc R 147, 172, 173, 176, 179, 182, 183, 184, 189, 193, 194, 195, 202, 205, 206, 207 Tugwell, Rexford G 7, 27, 32, 112, 116, 170, 176, 180, 184, 191, 196, 203, 207, 208, 234 Veblen, Thorstein 7, 12, 18, 26, 32, 147, 182, 184, 192, 195, 204 Wealth of Nations 1, 3, 24, 32, 116, 131, 133, 137, 146, 149, 151, 231 Wolff, E N 19 Malthus, Thomas Robert 101, 102, 103, 104, 114, 116, 122, 135, 140, 142, 146 Marshall, Alfred 26, 28, 32, 104, 140, 232 Martin, David D 116 Menzel, Paul 237 Mill, John S 32 Mitchell, Wesley C 7, 21, 26, 27, 32, 143, 146, 147, 171, 172, 176, 181, 182, 184, 191, 192, 195, 204, 207, 208, 235 Mun, Thomas 23, 32 Myrdal, Gunnar 108, 109, 170, 171, 176, 180, 181, 184, 191, 195, 203, 204, 206, 207 New York Times 34 Newsweek Magazine 116 O'Boyle, E J 17 Orwell, George 34, 47, 48, 50, 51, 160, 161, 164, 165 Petersen, Wallace G 116 Petty, William 23, 32 Pollin, R Ransom, Roger L 31 Reich, Robert 2, 3, 92, 102, 117 Reinhart, Carmen 1, Ricardo, David 97, 98, 99, 100, 101, 103, 104, 111, 116, 122, 140, 146, 241 Rist, Charles 21, 31 254 ... Director of the Institute of Petroleum Accounting at the University of North Texas iii Moral Economics Economics: From the Dismal Science to the Moral Science The Moral Economics of Kendall P Cochran. .. Occupy to the Pope are tapping into people's yearning for a moral economy of fairness and equal opportunity for all.” —Jim Hightower, author, speaker, radio commentator, editor of The Hightower... the University of North Texas, I worked up the courage to walk into the office of the Department of Economics and ask the receptionist if there might be a job for me there, perhaps making copies